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Lewistown refinery where Arro gas is made
Dec 17,1922
Both Ends of the Oil Industry Represented
Many Refineries Established to Keep Pace With Production.-Montana Becoming a Real Factor In the
Petroleum Industry.-Many New Fields Being Developed in This State.
Montana Refineries.
Operating Year
Companies Built
Arro Oil & Refining Co., Lewistown-----------1921
Montana Refining Co., Billings-----------------1921
Miles City O. & R. Co., Miles City--------------1922
Lewistown O. & R. Co., Lewistown------------1921
American Refg. Co., Great Falls----------------1922
Weowna Refining Co., Winnett----------------1921
A Corner in the Arro Laboratory.
Daily
Cap
20,000
1,000
500
500
500
500
Plant
Value
$175,000
100,000
150,000
100,000
150,000
100,000
Daily
Runs
1500
500
500
500
500
500
The Arro & Refining Company is using 50 cars like the above constantly in transporting its products to
market. Each car holds 10,000 gallons and carries over $2,000 worth of the refinery product.
1. Refinery Filling Station Steam Stills and Condensers, 2. Four Fire Stills, capacity of each 100
barrels, total 1600 barrels charging capacity. 3. Scene in compound house. 4. Warehouse and
shipping platform with tank car on track. 5. Office and superintendent's house. All brick
Buildings. 6 Corner in compounding house.
That Montana is rapidly becoming a recognized factor in the petroleum industry is being generally
accepted in oil circles everywhere. The struggle of the refining end of the game in the past has
presented difficulties in the way of securing crude, attended by other trying conditions that at times
made it appear that this important part of the industry was doomed to "die abornin'!" But today the
dawn of a period of prosperity is here. By the coming in of the Kevin-Sunburst field, that paramount
difficulty of receiving sufficient crude has been removed, and with Flatwillow knocking for admittance
with a field that promises to outdo in the amount of production anything this far uncovered, the
Montanan refiners can without drawing upon their imagination visualize an car of prosperity that only
depends upon their business acumen to score signal success. This condition is generally recognized by
the outside world.
In a well written article in the Casper, Wyoming, Oil index, the subject is treated as follows:
Not only is Montana rapidly achieving and enviable position among the oil producing states in the
quantity and value of her crude oil output but she is also becoming a factor in the refining industry. This
is all the more remarkable because she just only been producing oil in commercial quantities a little
more than two years and all of her refineries have been built in less than two years.
With Cat Creek making 8000 barrels daily and the Kevin-Sunburst district producing at the rate of
3,000,000 barrels annually, not to say anything about the 2500 barrels a day potential production at
Soap creek and the 200 barrels a day possible output at Devil's Basin. At the present rate of increase in
development with more than 500 producing wells before the close of another year in comparison with a

A description of the Arro Refinery located a few miles northwest of Lewistown, Montana. It also describes how gasoline is made.

Creator

Lewistown Democrat News, Lewistown, Montana.

Genre

documents

Type

Text

Date Original

1922-12-17

Subject (keyword)

Anti-freeze; Kerosene;

Subject (AAT)

Oil; Gasoline;

Rights Management

No copyright restrictions

Contributing Institution

Lewistown Public Library, Lewistown, Montana

Publisher (Original)

Lewistown Public Library, Lewistown, Montana.

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application/pdf

Physical format

PDF

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Canon MX310 300dpi

Full text of this item

Lewistown refinery where Arro gas is made
Dec 17, 1922
Both Ends of the Oil Industry Represented
Many Refineries Established to Keep Pace With Production.—Montana Becoming a Real Factor In the Petroleum Industry.—Many New Fields Being Developed in This State.
Montana Refineries.
Operating Year Daily Plant Daily
Companies Built Cap Value Runs
Arro Oil & Refining Co., Lewistown-----------1921 20,000 $175,000 1500
Montana Refining Co., Billings-----------------1921 1,000 100,000 500
Miles City O. & R. Co., Miles City--------------1922 500 150,000 500
Lewistown O. & R. Co., Lewistown------------1921 500 100,000 500
American Refg. Co., Great Falls----------------1922 500 150,000 500
Weowna Refining Co., Winnett----------------1921 500 100,000 500
A Corner in the Arro Laboratory.
The Arro & Refining Company is using 50 cars like the above constantly in transporting its products to market. Each car holds 10,000 gallons and carries over $2,000 worth of the refinery product.
1. Refinery Filling Station Steam Stills and Condensers, 2. Four Fire Stills, capacity of each 100 barrels, total 1600 barrels charging capacity. 3. Scene in compound house. 4. Warehouse and shipping platform with tank car on track. 5. Office and superintendent’s house. All brick Buildings. 6 Corner in compounding house.
That Montana is rapidly becoming a recognized factor in the petroleum industry is being generally accepted in oil circles everywhere. The struggle of the refining end of the game in the past has presented difficulties in the way of securing crude, attended by other trying conditions that at times made it appear that this important part of the industry was doomed to “die abornin’!” But today the dawn of a period of prosperity is here. By the coming in of the Kevin-Sunburst field, that paramount difficulty of receiving sufficient crude has been removed, and with Flatwillow knocking for admittance with a field that promises to outdo in the amount of production anything this far uncovered, the Montanan refiners can without drawing upon their imagination visualize an car of prosperity that only depends upon their business acumen to score signal success. This condition is generally recognized by the outside world.
In a well written article in the Casper, Wyoming, Oil index, the subject is treated as follows:
Not only is Montana rapidly achieving and enviable position among the oil producing states in the quantity and value of her crude oil output but she is also becoming a factor in the refining industry. This is all the more remarkable because she just only been producing oil in commercial quantities a little more than two years and all of her refineries have been built in less than two years.
With Cat Creek making 8000 barrels daily and the Kevin-Sunburst district producing at the rate of 3,000,000 barrels annually, not to say anything about the 2500 barrels a day potential production at Soap creek and the 200 barrels a day possible output at Devil’s Basin. At the present rate of increase in development with more than 500 producing wells before the close of another year in comparison with a little more than 100 wells at present, the daily output should be more than trebled in the next 12 months.
It is true that development is handicapped by lack of pipe lines and marketing facilities but the history of the industry in the past is that wherever oil has been discovered pipe lines and refineries have followed in due course of time. Already these handicaps are being rapidly overcome and local refineries are springing up at the most advantageous points with major pipe line possibilities to the Pacific coast as soon as conditions will warrant. This mean major refineries advantageous points as Spokane and Seattle with a prosperous empire in the northwest and all of the Orient in which to market the products of the refineries.
While the Northwest Territory is waiting for the bigger prospects to materialize, the local refineries shown at the head of this review will be reaping a rich reward in catering to local consumption with refinery products at prices that outside interests will find it unprofitable to compete with because of freight differentials.
Four of the refineries shown above have been in operation for some time and have enjoyed such a profitable business that several of them have enlarged from their initial capacity and one or two are contemplating further expansion. Early in the month, the American Refining Co. at Great Falls started the fires under its stills and is now running on Kevin-Sunburst crude which is said to be an ideal crude for refining purposes. The Cat Creek crude because of its high gasoline content is valuable for refining but because of its high gasoline content is valuable for refining but because of its high gravity has to be cut with crude of a lower gravity.
The fact that the refineries mentioned have their crude supplies almost at their tanks is a big advantage as the freight rates are nominal when compared with rates for shipments of crude from such points as Salt Creek to Indiana, Ohio, Pennsylvania or Canadian points. The rate to eastern points from Salt Creek will average about $1.45 per barrel while from Salt Creek Regina, Ca. is $1,554. The freight rate from the Kevin-Sunburst field to Great Falls is about $1.30 per barrels and will soon be cut to less than half the present rate.
Besides the refineries mentioned, it is reasonable to suppose that there will be several more in operation on Montana crude before the close of another year. The Gulf Oil Corp. is operation in the state through its subsidiary the Gypsy Oil Co., and the Gulf interests are known to generally follow production with refineries. The Texas Production Co., a subsidiary of the Texas Co., is also operating in Montana and here are just as good reasons for supposing that this strong independent company will build a refinery in Montana as there were for its building one at Casper, Wyo. Then there are the two subsidiaries of California companies. They may decide that they can handle their own oil to as good an advantage as any other company. The Gladys Belle Oil & Refining Co., financed by the Stebbins Interests and the Shaffer interests may be looked upon as almost certain to build refineries of their own somewhere within the state or at some advantageous point tributary to the Montana fields.
There is also a certainty that Canadian interests will build one or more works across the border because there is no tariff on crude oil going into Canada and a high duty on refined which makes the refining industry very profitable in the dominion. When Canada took the tariff off from crude and put a duty on refined to appease the Canadian producer of crude it placed a bounty of 52 1-2c per barrel on every barrel of crude produced in the Dominion which would make it very profitable if the oil in northern Montana should extend across the border from the United States.
Everything considered it would seem that Montana as an oil producing and refining state will bear watching for the next two or three years as affording exceptional opportunities for oil men to get in before all of the choice territory has been preempted by the interests dominant in Wyoming.
Arro Test Crude Kevin-Sunburst
Remarkable Progress Recorded in a Single Year Only serves to emphasize the Unlimited Possibilities the Future Hold Out for the Refining Industry in Montana.
A recent test run of two cars of Kevin-Sunburst oil made by the Arro shows that crude to be of great value when mixed with the Cat Creek product.
In speaking of the test of the Kevin Sunburst crude W. M. Parker, Arro superintendent, said: “I have probably refined at one time or other every crude oil produced in the United States and Mexico and some of the crudes of Europe, but in no one of them have I found a gasoline superior to that from the Kevin-Sunburst crude. Its initial boiling point of 110 degrees Fahrenheit is ideal and it will start a motor in extremely cold weather quickly and easily. Arro specifications calls for an end point of not over 400 degrees Fahrenheit, and this Kevin-Sunburst gasoline from its low initial to the 400 end point shows a uniformity of distillation that i.e. extremely gratifying to a refiner of high grade gasoline.”
Technically Mr. Parker described the gasoline as follows: Initial boiling point 110 degrees Fahrenheit, with a gravity of 61 at 400 end point, showing a uniform distillation throughout. The per cent of yield being slightly over 30 per cent of the crude.
As to the kerosene content Mr. Parker said: “There is 20 per cent of good quality kerosene in this Kevin-Sunburst crude that will make a good running mate for the extremely high quality kerosene contained in the Cat Creek crudes. I must say that the kerosene in the Cat Creek crude is exceptional in quality, especially as to burning clean. Kerosene, however, as to quality depends almost entirely upon the care and method in refining and treating. The Kevin-Sunburst kerosene will cost us a little more to treat, but when prepared for the market will compare favorably with Cat Creek products, in describing the kerosene technically, Mr. Parker gave out the following: Per cent of crude 20, with a flash of 130 Fahrenheit and fire of 160, having a gravity of 42 Baume.
The test showed the crude to contain 15 per cent gas oil, a product used principally in the manufacture of artificial gas for city purposes. This product the test showed to have a gravity of 36 degrees Baume. Mr. Parker stated that there is a good market for this product and that upon the completion of the cracking plant now being installed by the Arro considerable of this product will be re-run to obtain gasoline. Amounting to 33 per cent of crude was black oil for which, when properly refined, there is a good market in the mining and logging districts. Mr. Parker stated that oil account of the large amount of carbon in the residue it would be …..stocks, as special treating required would be too expensive.
Remarkable progress recorded in a single year only serves to emphasize the unlimited possibilities the future holds out for the refining industry in Montana.
The Arro Oil & Refining Company was incorporated July 1st, 1921. Construction was started the middle of that month, foundations were being laid July 17th, and by the end of that month steel was arriving and on October 17 the first fire was started under the crude stills and twenty four hours afterwards the finished product was ready for the market. This was the beginning of a new era in the gasoline situation in Montana.
The company put down here in Montana as complete as modern a refinery as money and brains could put together, starting its career with substantial and permanent construction, and a capacity that was thought would be ample to meet the requirements of the trade they hoped to get.
Big Demand from Start.
From the very beginning the demand for these home produced and manufactured products was established, and before the peak season was reached the company was so swamped with business that it was unable to take all the business offered. The demand came from all parts of Montana and eastern Washington.
When the company started in business it intended to build a business on quality rather than the home product idea alone; today its gasoline is in demand in the principal cities of Montana, eastern Washington, northern Idaho and Canada.
How Arro Gasoline Is Made.
First the crude or tire stills are charged with cat Creek crude and heated to a temperature as high as 575 degrees. The first product that comes off, through the condenser boxes behind the fire stills, is benzene distillate, which goes to rundown tanks. This is where many of the so-called refineries stop and call it gasoline. From thence it goes to a 400-barrel agitator where it is washed with soda and acid. This for the purpose of decoloring and deodorizing.
An agitator is a large tank with a cone-shaped bottom into which strong air pressure is introduced and the product is thoroughly cleaned and washed. Thence it passes to rundown or settling tanks. From there it goes to steam stills, and again it is heated to a temperature of 320 degrees making the second distillation passing through condenser boxes behind these stills to other settling tanks. In this process every vestige of kerosene, heavy ends, and other foreign substances such as asphalt and tar, is taken out. This is due to the fact that the heat attained is no greater than steam heat with no direct fire to drive these foreign substances over in this distillation and then it is ready for the tank car and the market.
Arro Kerosene.
The crude oil from the Cat Creek field produces as high grade kerosene as is made from any crude oil in the United States.
This is the second product that comes off the ?? stills through the condenser boxes and run-down or settling tanks, and is called kerosene and is treated with acid and soda for the purpose of decolorizing and deodorizing.
It has been said that with this crude oil a kerosene with a high as 160 fire test may be obtained, and practical experiments have shown that this kerosene will char a wick less than any kerosene marketed in the western territories.
Due to these qualifications there has been a wide demand for this product from all parts of the country.
Lubricating Oils.
In January, this year, the company decided to branch into the lubricating oil and grease trade and by the end of February a modern lubricating plant was installed with complete machinery, buildings, and tankage.
Under the title of Arrolene motor oils the company is compounding specifications that are especially adapted to these northern climates and high altitudes. These physical specifications are the result of experience from the beginning of the manufacturing of motor oils, and embrace grades for every type of motor.
Using the highest quality of filtered stocks obtainable, these oils are offered in competition with any oils imported into this territory, and have received a very marked demand from all points in Montana and eastern Washington.
Tractor Fuel.
At the beginning of the farming season this company put on the market for use in the farm tractor a new fuel oil called Arro Tractor fuel, at a saving in cost to the farming interests that run into thousands of dollars, and at the same time gave to the user a better fuel than he had ever before and before the opening if another season the company plans the installation of equipment to provide for the marketing if this product in a much wider range of territory.
Fuel Oil.
The company has been making investigation of fuel oil burning appliances and it is their intention to buy this equipment in quantities to secure the lowest possible price, and these benefits are to be passed on to the consumer. They are to be sold and installed on terms to justify any householder in converting his heating problems from coal to oil, according to statements made by officers of the company, and to promote this feature of their business the price of oil will be regulated accordingly. The burning of fuel oil in other producing and manufacturing fields is extended to cover a wide range of territory. The company will be able to give competent advice to the buyer of equipment and also provide competent and reliable installation.
Arro Anti-Freeze.
In the past the motorist has been offered compositions for the protection of his radiator in very cold weather. Many of these products have merits others have proved injurious in the radiator and motor.
The chemists of the Arro have compounded a product, under the above title. Every ingredient that enters into this product is produced in Montana and carries the guarantee of the company that it will not freeze in any temperature nor injure the radiator or motor.
Variety of Products.
It may not be generally known but this company manufactures the following products: Gasoline, kerosene, distillates, cleaner-naphtha, motor fuel, fuel oil, gas oil, lubricating oils, motor oils, greases, black oils, cylinder oils, anti-freeze, and are shipped out to the trade and consumer in the company’s tank cars, barrels, and other specially designed packages under registered trademark brands.
Big Tonnage.
That this enterprise is proving a big factor from a freight tonnage standpoint, during the first year’s operation 70,041,000 pounds of raw material and manufactured products were shipped into and out of this refinery. This is equivalent to 2700 box cars of freight matter, and does not include the big amount of freight hauled for the construction of the plant.
Big Increase.
That the anticipation of certain Lewistown businessmen is being realized is evidenced by the progress made by this company in their first twelve months of operation.
In the first thirty days of operation 16 tank car loads of finished products were shipped to the distributing trade. In a corresponding thirty days one year later, 75 cars were shipped, or an increase of practically 400 per cent.
Modern Instillation.
This modern refinery is made up of crude or fire stills, steam stills, condenser boxes, agitators, boiler plant, pumping plant, laboratories, lubricating oil and grease plant, a network of pipe lines, a water system, large storage tanks, comfortable brick homes for employees, and a fleet of 50 eight and ten-thousand gallon tank cars. This fleet of cars will be increased in the spring 50 or 100 per cent to care for the increased business that is offered to the company.
In July of this year, at the regular semi-annual dividend was passed and paid and the following new officials were elected for the coming year: Herbert A. Hover, president; H. H. Schwartz Jr., vice president; E. L. Demers, secretary; Ed. L. Allen, treasurer .
The active management of the business is conducted by Mr. H. H. Schwartz, vice president; the operating and manufacturing by Mr. W. M. Parker, the sales department by Mr. C. H. Brown.
Mr. Parker has had 35 years’ experience in manufacturing all of the crude oils in the United States into petroleum products. He has also been an extensive construction engineer, building altogether some fifteen other refineries in the United States and two in Europe.
New Territory.
Recently lower freight rates were established by the railroad companies to all points in North and South Dakota, placing the Montana refineries on an equal basis with the Mid-Continent field which was the previous source of supply. This and the increased demands of the distributors the company furnished the past year made it necessary for the management to work out a means for a greater supply of crude oil and increased capacity.
All these plans have been perfected and today they have under construction additions to the plant that will increase the capacity to over 2,000 barrels crude oil per day.
These improvements consist of an extraction plant, adapted to the use of the cracking process, invented by Mr. W. M. Parker, and the suppressing of tankage and storage nearly 200 per cent. This increase in storage capacity will put the company in position to meet the flush business that always comes to the petroleum oil manufacturer in the spring of the year in this country, and at the same time to always be able to care for the requirements of the manufactures distributors handling Arro gasoline.
New Process
Gasoline is a valuable factor in all crude oils. Owing to the daily increasing demand large refineries found it necessary to provide means for recovering a great percentage of gasoline from each barrel of crude oil refined.
Mr. W. M. Parker invented a process of high heat and pressure that will show a recovery of 25 per cent more gasoline from the crude oil than the original distillation process. In this process the initial point of fire gasoline will be lowered to such an extent that it will show an improvement even in the qualifications of Arro gasoline.
Pay Roll.
Since the Arro Oil & Refining Company started in business they have paid out in salaries and wages, which include the original construction of the plant, $100,000 all of which has been disbursed in Lewistown and vicinity.
In the first 12 months of operation this company has paid to the state of Montana, in road taxes on gasoline, $20,000. It is expected that in the coming year this revenue to the state from the young industry will be increased not less than 200 per cent.
It is a fact that from the time the crude oil comes from mother earth until it has passed through the individual’s motor, every dollar of the returns remain in the state of Montana. This bears out the contention of the company that the consummation of the petroleum industry is in the finished product.
Beginning with the new year the Arro will put on an extensive advertising campaign throughout the state and other territory covered, which will consist of novelties, metal motor signs of various sizes, bill board signs, newspapers, pamphlets, in fact they expect before the end of next year that Arro products will have become so popular with the consuming trade that they will be familiar throughout the northwest.

Lewistown refinery where Arro gas is made
Dec 17,1922
Both Ends of the Oil Industry Represented
Many Refineries Established to Keep Pace With Production.-Montana Becoming a Real Factor In the
Petroleum Industry.-Many New Fields Being Developed in This State.
Montana Refineries.
Operating Year
Companies Built
Arro Oil & Refining Co., Lewistown-----------1921
Montana Refining Co., Billings-----------------1921
Miles City O. & R. Co., Miles City--------------1922
Lewistown O. & R. Co., Lewistown------------1921
American Refg. Co., Great Falls----------------1922
Weowna Refining Co., Winnett----------------1921
A Corner in the Arro Laboratory.
Daily
Cap
20,000
1,000
500
500
500
500
Plant
Value
$175,000
100,000
150,000
100,000
150,000
100,000
Daily
Runs
1500
500
500
500
500
500
The Arro & Refining Company is using 50 cars like the above constantly in transporting its products to
market. Each car holds 10,000 gallons and carries over $2,000 worth of the refinery product.
1. Refinery Filling Station Steam Stills and Condensers, 2. Four Fire Stills, capacity of each 100
barrels, total 1600 barrels charging capacity. 3. Scene in compound house. 4. Warehouse and
shipping platform with tank car on track. 5. Office and superintendent's house. All brick
Buildings. 6 Corner in compounding house.
That Montana is rapidly becoming a recognized factor in the petroleum industry is being generally
accepted in oil circles everywhere. The struggle of the refining end of the game in the past has
presented difficulties in the way of securing crude, attended by other trying conditions that at times
made it appear that this important part of the industry was doomed to "die abornin'!" But today the
dawn of a period of prosperity is here. By the coming in of the Kevin-Sunburst field, that paramount
difficulty of receiving sufficient crude has been removed, and with Flatwillow knocking for admittance
with a field that promises to outdo in the amount of production anything this far uncovered, the
Montanan refiners can without drawing upon their imagination visualize an car of prosperity that only
depends upon their business acumen to score signal success. This condition is generally recognized by
the outside world.
In a well written article in the Casper, Wyoming, Oil index, the subject is treated as follows:
Not only is Montana rapidly achieving and enviable position among the oil producing states in the
quantity and value of her crude oil output but she is also becoming a factor in the refining industry. This
is all the more remarkable because she just only been producing oil in commercial quantities a little
more than two years and all of her refineries have been built in less than two years.
With Cat Creek making 8000 barrels daily and the Kevin-Sunburst district producing at the rate of
3,000,000 barrels annually, not to say anything about the 2500 barrels a day potential production at
Soap creek and the 200 barrels a day possible output at Devil's Basin. At the present rate of increase in
development with more than 500 producing wells before the close of another year in comparison with a